Apple agrees to $250M settlement over claims it overhyped iPhone AI features

Key Points:

• Apple agreed to a proposed $250 million class action settlement with iPhone customers who claimed the company falsely advertised enhanced Siri AI features on certain iPhone 16 and 15 models before those features were available.
• The settlement, filed in California federal court, covers consumers who purchased eligible iPhone models between June 10, 2024, and March 29, 2025, offering approximately $25 per device, potentially increasing to $95 depending on claims filed.
• In addition to monetary compensation, Apple plans to provide future Siri AI software updates at no extra cost, while denying any wrongdoing and asserting that some AI features had already been released and further capabilities were disclosed to roll out over time.
• The lawsuit, consolidated under Landsheft v. Apple Inc. in the U.S. District Court for the Northern District of California, involves novel legal issues related to AI marketing claims and does not affect separate shareholder lawsuits about Apple's AI rollout.
• Details on filing claims will be provided after a preliminary approval hearing scheduled for June 17, 2026, with eligible consumers having 90 days post-notice to submit claims; meanwhile, a former Apple employee has filed a separate lawsuit alleging unlawful employment restrictions.